"It's not easy to take a company that's losing money private", Galloway said. Shares climbed about 2% on Tuesday, and then soared after Musk tweeted. Musk previously tweeted an April Fool's joke about his $60 billion company going broke.
The company had a market value of US$58 billion as of Monday's close. He implied the funding values the company at $420 a share.
Shares in Tesla were up sharply following the tweet, trading at $363 at the time of writing.
According to the Times, the Saudis recently approached Musk and offered to buy even more Tesla shares, an offer that Musk refused.
The tweets have added to speculation about Tesla, which is spending heavily as it ramps up production of its latest auto, the Model 3.More news: Meeting with Russia to gather information totally legal, Trump says
The U.S. Securities and Exchange Commission allows companies to use social media outlets like Facebook and Twitter to announce key information in compliance with its fair disclosure rules so long as investors have been alerted about which social media outlets will be used to disseminate such information.
Tesla did not immediately respond to a request for comment. So it will take some very deep pockets to buy up all of Tesla's publicly held stock. "Would create special objective fund enabling anyone to stay with Tesla". I think he's serious.
His tweet came hours after the Financial Times reported that Saudi Arabia's sovereign wealth fund had built a significant stake in Tesla Inc., but it was unclear if that was the funding Musk was referring to. Shares are up as high as 9% on the day.
"Details, structure, participants and how the valuation has been determined remain to be seen".